Sales of equity-linked securities decline in first half of year due to volatility

Sales of equity-linked securities (ELS), including equity-linked bonds (ELB), declined in the first half of this year compared to six months earlier, mainly due to volatility in stock markets and tensions in the Middle East, financial data showed on Tuesday.

The issuance of ELS and ELB products stood at 27.7 trillion won ($18.8 billion) in the first half of the year, down 41.7 percent from the previous six-month period, the Korea Securities Depositary said.

However, the issuance of ELS and ELB rose 27.7 percent compared to January to June of 2025, the latest findings showed.

ELS refers to hybrid debt securities, the returns of which are determined by the performance of underlying equities.

ELS products track benchmark stock indexes, including the Kospi 200, as underlying assets.

The Kospi hit a milestone of 9,000 points in June, buoyed by a global spending boom on AI, but has since tumbled.

Yonhap